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C.L. FRATES & CO. v. WESTCHESTER FIRE INS. CO.

No. 12-6274.

728 F.3d 1187 (2013)

C.L. FRATES & COMPANY, an Oklahoma corporation, Plaintiff-Appellee, v. WESTCHESTER FIRE INSURANCE COMPANY, a Pennsylvania corporation, Defendant-Appellant.

United States Court of Appeals, Tenth Circuit.

September 4, 2013.

Attorney(s) appearing for the Case

Thomas Rowe Kendrick , Timothy L. Martin of Durbin, Larimore & Bialick, Oklahoma City, OK; Joseph K. Powers of Sedgwick LLP, New York, NY, for Defendant-Appellant.

Ryan S. Wilson , Elizabeth A. Price , Michael L. Brooks of Hartzog Conger Cason & Neville, Oklahoma City, OK, for Plaintiff-Appellee.

Before HOLMES, BACHARACH, and PHILLIPS, Circuit Judges.

BACHARACH, Circuit Judge.

This action involves a dispute over the interpretation of an errors-and-omissions policy issued by Westchester Fire Insurance Company to C.L. Frates & Company. The policy excludes coverage for claims "arising out of" bankruptcy or insolvency.

The dispute grew out of a stop-loss policy issued by United Re to a company that had hired Frates as a broker. After issuance of the policy, United filed for bankruptcy protection. When Frates...

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